diff --git a/jsonforms-editor/src/core/dnd/types.ts b/jsonforms-editor/src/core/dnd/types.ts
index f09dbbf..d4e8e3d 100644
--- a/jsonforms-editor/src/core/dnd/types.ts
+++ b/jsonforms-editor/src/core/dnd/types.ts
@@ -5,6 +5,8 @@
  * https://github.com/eclipsesource/jsonforms-editor/blob/master/LICENSE
  * ---------------------------------------------------------------------
  */
+import { JsonSchema } from '@jsonforms/core';
+
 import { getArrayContainer, SchemaElement } from '../model';
 import {
   containsControls,
@@ -18,8 +20,27 @@ import { getHierarchy } from '../util/tree';
 export const NEW_UI_SCHEMA_ELEMENT: 'newUiSchemaElement' = 'newUiSchemaElement';
 export const MOVE_UI_SCHEMA_ELEMENT: 'moveUiSchemaElement' =
   'moveUiSchemaElement';
+export const NEW_SCHEMA_ELEMENT: 'newSchemaElement' = 'newSchemaElement';
+
+export type DndType =
+  | NewUISchemaElement
+  | MoveUISchemaElement
+  | NewSchemaElement;
 
-export type DndType = NewUISchemaElement | MoveUISchemaElement;
+export interface NewSchemaElement {
+  type: 'newSchemaElement';
+  uiSchemaElement: EditorUISchemaElement;
+  schema: JsonSchema;
+}
+
+const newSchemaElement = (
+  uiSchemaElement: EditorUISchemaElement,
+  schema: JsonSchema
+) => ({
+  type: NEW_SCHEMA_ELEMENT,
+  uiSchemaElement,
+  schema,
+});
 
 export interface NewUISchemaElement {
   type: 'newUiSchemaElement';
@@ -51,7 +72,11 @@ const moveUISchemaElement = (
   schema,
 });
 
-export const DndItems = { newUISchemaElement, moveUISchemaElement };
+export const DndItems = {
+  newUISchemaElement,
+  moveUISchemaElement,
+  newSchemaElement,
+};
 
 export const canDropIntoLayout = (
   item: NewUISchemaElement,
diff --git a/jsonforms-editor/src/core/model/actions.ts b/jsonforms-editor/src/core/model/actions.ts
index c72c2f4..0b8f0a3 100644
--- a/jsonforms-editor/src/core/model/actions.ts
+++ b/jsonforms-editor/src/core/model/actions.ts
@@ -5,6 +5,8 @@
  * https://github.com/eclipsesource/jsonforms-editor/blob/master/LICENSE
  * ---------------------------------------------------------------------
  */
+import { JsonSchema } from '@jsonforms/core';
+
 import { EditorUISchemaElement } from './uischema';
 
 export type UiSchemaAction = AddUnscopedElementToLayout | UpdateUiSchemaElement;
@@ -14,6 +16,7 @@ export type CombinedAction =
   | SetSchemaAction
   | SetSchemasAction
   | AddScopedElementToLayout
+  | AddSchemaElementToLayout
   | MoveUiSchemaElement
   | RemoveUiSchemaElement
   | AddDetail;
@@ -26,6 +29,8 @@ export const SET_UISCHEMA: 'jsonforms-editor/SET_UISCHEMA' =
   'jsonforms-editor/SET_UISCHEMA';
 export const SET_SCHEMAS: 'jsonforms-editor/SET_SCHEMAS' =
   'jsonforms-editor/SET_SCHEMAS';
+export const ADD_SCHEMA_ELEMENT_TO_LAYOUT: 'jsonforms-editor/ADD_SCHEMA_ELEMENT_TO_LAYOUT' =
+  'jsonforms-editor/ADD_SCHEMA_ELEMENT_TO_LAYOUT';
 export const ADD_SCOPED_ELEMENT_TO_LAYOUT: 'jsonforms-editor/ADD_SCOPED_ELEMENT_TO_LAYOUT' =
   'jsonforms-editor/ADD_SCOPED_ELEMENT_TO_LAYOUT';
 export const ADD_UNSCOPED_ELEMENT_TO_LAYOUT: 'jsonforms-editor/ADD_UNSCOPED_ELEMENT_TO_LAYOUT' =
@@ -55,6 +60,14 @@ export interface SetSchemasAction {
   uiSchema: any;
 }
 
+export interface AddSchemaElementToLayout {
+  type: 'jsonforms-editor/ADD_SCHEMA_ELEMENT_TO_LAYOUT';
+  uiSchemaElement: EditorUISchemaElement;
+  layoutUUID: string;
+  schema: JsonSchema;
+  index: number;
+}
+
 export interface AddScopedElementToLayout {
   type: 'jsonforms-editor/ADD_SCOPED_ELEMENT_TO_LAYOUT';
   uiSchemaElement: EditorUISchemaElement;
@@ -111,6 +124,19 @@ const setSchemas = (schema: any, uiSchema: any) => ({
   uiSchema,
 });
 
+const addSchemaElementToLayout = (
+  uiSchemaElement: EditorUISchemaElement,
+  layoutUUID: string,
+  index: number,
+  schema: JsonSchema
+) => ({
+  type: ADD_SCHEMA_ELEMENT_TO_LAYOUT,
+  uiSchemaElement,
+  layoutUUID,
+  index,
+  schema,
+});
+
 const addScopedElementToLayout = (
   uiSchemaElement: EditorUISchemaElement,
   layoutUUID: string,
@@ -177,4 +203,5 @@ export const Actions = {
   removeUiSchemaElement,
   updateUISchemaElement,
   addDetail,
+  addSchemaElementToLayout,
 };
diff --git a/jsonforms-editor/src/core/model/reducer.ts b/jsonforms-editor/src/core/model/reducer.ts
index ce4fb56..1bbcea7 100644
--- a/jsonforms-editor/src/core/model/reducer.ts
+++ b/jsonforms-editor/src/core/model/reducer.ts
@@ -10,6 +10,7 @@ import { assign } from 'lodash';
 import { withCloneTree, withCloneTrees } from '../util/clone';
 import {
   findByUUID,
+  getPathString,
   getRoot,
   isUUIDError,
   linkElements,
@@ -18,6 +19,7 @@ import {
 } from '../util/schemasUtil';
 import {
   ADD_DETAIL,
+  ADD_SCHEMA_ELEMENT_TO_LAYOUT,
   ADD_SCOPED_ELEMENT_TO_LAYOUT,
   ADD_UNSCOPED_ELEMENT_TO_LAYOUT,
   CombinedAction,
@@ -30,7 +32,13 @@ import {
   UiSchemaAction,
   UPDATE_UISCHEMA_ELEMENT,
 } from './actions';
-import { buildSchemaTree, cleanLinkedElements, SchemaElement } from './schema';
+import {
+  buildJsonSchema,
+  buildSchemaTree,
+  cleanLinkedElements,
+  isObjectElement,
+  SchemaElement,
+} from './schema';
 import {
   buildEditorUiSchemaTree,
   cleanUiSchemaLinks,
@@ -118,6 +126,51 @@ export const combinedReducer = (state: EditorState, action: CombinedAction) => {
         buildSchemaTree(action.schema),
         buildEditorUiSchemaTree(action.uiSchema)
       );
+    case ADD_SCHEMA_ELEMENT_TO_LAYOUT:
+      return withCloneTree(
+        state.uiSchema,
+        action.layoutUUID,
+        state,
+        (newUiSchema) => {
+          const newUIElement = action.uiSchemaElement;
+          newUIElement.parent = newUiSchema;
+          (newUiSchema as EditorLayout).elements.splice(
+            action.index,
+            0,
+            newUIElement
+          );
+          const currentJsonSchema = buildJsonSchema(state.schema!);
+          const maxPropNumber =
+            Object.keys(currentJsonSchema.properties!)
+              .filter((propName) => propName.startsWith('prop_'))
+              .map((propName) => Number.parseInt(propName.substr(5)))
+              .reduce(
+                (maxValue, propNumber) => Math.max(maxValue, propNumber),
+                0
+              ) + 1;
+          const propName = `prop_${maxPropNumber}`;
+          currentJsonSchema.properties![propName] = action.schema;
+          const newSchema = buildSchemaTree(currentJsonSchema);
+          if (!isObjectElement(newSchema)) {
+            return state;
+          }
+
+          if (
+            !linkElements(newUIElement, newSchema.properties.get(propName)!)
+          ) {
+            console.error('Could not add new UI element', newUIElement);
+            return state;
+          }
+          (newUIElement as any).scope = `#/${getPathString(
+            newSchema.properties.get(propName)
+          )}`;
+
+          return {
+            schema: getRoot(newSchema as SchemaElement),
+            uiSchema: getRoot(newUiSchema),
+          };
+        }
+      );
     case ADD_SCOPED_ELEMENT_TO_LAYOUT:
       return withCloneTrees(
         state.uiSchema,
@@ -364,6 +417,7 @@ export const editorReducer = (state: EditorState, action: EditorAction) => {
     case SET_SCHEMA:
     case SET_UISCHEMA:
     case SET_SCHEMAS:
+    case ADD_SCHEMA_ELEMENT_TO_LAYOUT:
     case ADD_SCOPED_ELEMENT_TO_LAYOUT:
     case MOVE_UISCHEMA_ELEMENT:
     case REMOVE_UISCHEMA_ELEMENT:
diff --git a/jsonforms-editor/src/core/renderers/DroppableLayout.tsx b/jsonforms-editor/src/core/renderers/DroppableLayout.tsx
index b8434dc..d0986a4 100644
--- a/jsonforms-editor/src/core/renderers/DroppableLayout.tsx
+++ b/jsonforms-editor/src/core/renderers/DroppableLayout.tsx
@@ -27,6 +27,7 @@ import {
   canMoveSchemaElementTo,
   MOVE_UI_SCHEMA_ELEMENT,
   MoveUISchemaElement,
+  NEW_SCHEMA_ELEMENT,
   NEW_UI_SCHEMA_ELEMENT,
   NewUISchemaElement,
 } from '../dnd';
@@ -125,10 +126,11 @@ const useDropPointStyles = makeStyles((theme) => ({
 const DropPoint: React.FC<DropPointProps> = ({ layout, index }) => {
   const dispatch = useDispatch();
   const rootSchema = useSchema();
-  const [{ isOver, uiSchemaElement, schemaUUID }, drop] = useDrop({
-    accept: [NEW_UI_SCHEMA_ELEMENT, MOVE_UI_SCHEMA_ELEMENT],
+  const [{ isOver, uiSchemaElement, schemaUUID, schema }, drop] = useDrop({
+    accept: [NEW_UI_SCHEMA_ELEMENT, MOVE_UI_SCHEMA_ELEMENT, NEW_SCHEMA_ELEMENT],
     canDrop: (item, monitor) => {
       switch (item.type) {
+        case NEW_SCHEMA_ELEMENT:
         case NEW_UI_SCHEMA_ELEMENT:
           return canDropIntoLayout(
             item as NewUISchemaElement,
@@ -149,6 +151,7 @@ const DropPoint: React.FC<DropPointProps> = ({ layout, index }) => {
       isOver: !!mon.isOver() && mon.canDrop(),
       uiSchemaElement: mon.getItem()?.uiSchemaElement,
       schemaUUID: mon.getItem()?.schemaUUID,
+      schema: mon.getItem()?.schema,
     }),
     drop: (item) => {
       switch (item.type) {
@@ -180,6 +183,15 @@ const DropPoint: React.FC<DropPointProps> = ({ layout, index }) => {
             )
           );
           break;
+        case NEW_SCHEMA_ELEMENT:
+          dispatch(
+            Actions.addSchemaElementToLayout(
+              uiSchemaElement,
+              layout.uuid,
+              index,
+              schema
+            )
+          );
       }
     },
   });
diff --git a/jsonforms-editor/src/palette-panel/components/CreateSchemaTree.tsx b/jsonforms-editor/src/palette-panel/components/CreateSchemaTree.tsx
new file mode 100644
index 0000000..576f0e4
--- /dev/null
+++ b/jsonforms-editor/src/palette-panel/components/CreateSchemaTree.tsx
@@ -0,0 +1,80 @@
+/**
+ * ---------------------------------------------------------------------
+ * Copyright (c) 2020 EclipseSource Munich
+ * Licensed under MIT
+ * https://github.com/eclipsesource/jsonforms-editor/blob/master/LICENSE
+ * ---------------------------------------------------------------------
+ */
+import { JsonSchema } from '@jsonforms/core';
+import Typography from '@material-ui/core/Typography';
+import React from 'react';
+import { useDrag } from 'react-dnd';
+import { v4 as uuid } from 'uuid';
+
+import { DndItems } from '../../core/dnd';
+import { StyledTreeItem, StyledTreeView } from './Tree';
+
+interface CreateSchemaTreeProps {
+  schema: JsonSchema;
+  label: string;
+  icon?: React.ReactNode;
+}
+
+const CreateSchemaTreeItem: React.FC<CreateSchemaTreeProps> = ({
+  schema,
+  label,
+  icon,
+}) => {
+  const uiSchemaElement = {
+    type: 'Control',
+    uuid: uuid(),
+  };
+  const [{ isDragging }, drag] = useDrag({
+    item: DndItems.newSchemaElement(uiSchemaElement, schema),
+    collect: (monitor) => ({
+      isDragging: !!monitor.isDragging(),
+    }),
+  });
+  if (!schema.type || Array.isArray(schema.type)) {
+    return <></>;
+  }
+  return (
+    <div ref={drag} data-cy={`${schema.type}-source`}>
+      <StyledTreeItem
+        key={schema.type}
+        nodeId={schema.type}
+        label={label}
+        icon={icon}
+        isDragging={isDragging}
+      ></StyledTreeItem>
+    </div>
+  );
+};
+
+export const CreateSchemaTree: React.FC<{}> = () => {
+  return (
+    <div>
+      <Typography variant='h6' color='inherit' noWrap>
+        Create Schema
+      </Typography>
+      <StyledTreeView defaultExpanded={['']}>
+        <CreateSchemaTreeItem
+          schema={{ type: 'string' }}
+          label='String'
+        ></CreateSchemaTreeItem>
+        <CreateSchemaTreeItem
+          schema={{ type: 'boolean' }}
+          label='Boolean'
+        ></CreateSchemaTreeItem>
+        <CreateSchemaTreeItem
+          schema={{ type: 'integer' }}
+          label='Integer'
+        ></CreateSchemaTreeItem>
+        <CreateSchemaTreeItem
+          schema={{ type: 'number' }}
+          label='Number'
+        ></CreateSchemaTreeItem>
+      </StyledTreeView>
+    </div>
+  );
+};
diff --git a/jsonforms-editor/src/palette-panel/components/PalletePanel.tsx b/jsonforms-editor/src/palette-panel/components/PalletePanel.tsx
index 50024d9..bdcfa46 100644
--- a/jsonforms-editor/src/palette-panel/components/PalletePanel.tsx
+++ b/jsonforms-editor/src/palette-panel/components/PalletePanel.tsx
@@ -19,6 +19,7 @@ import { Actions, SchemaElement, toPrintableObject } from '../../core/model';
 import { buildDebugUISchema } from '../../core/model/uischema';
 import { useExportSchema, useExportUiSchema } from '../../core/util/hooks';
 import { env } from '../../env';
+import { CreateSchemaTree } from './CreateSchemaTree';
 import { SchemaJson, UpdateResult } from './SchemaJson';
 import { SchemaTreeView } from './SchemaTree';
 import { UIElementsTree } from './UIElementsTree';
@@ -101,6 +102,7 @@ export const PalettePanel = () => {
           className={classes.uiElementsTree}
           elements={paletteService.getPaletteElements()}
         />
+        <CreateSchemaTree></CreateSchemaTree>
         <SchemaTreeView schema={schema} />
       </TabContent>
       <TabContent index={1} currentIndex={selectedTab}>